Is it possible that the eventual ARM/Denver core would replace the command processor itself? Is such general architecture enough powerful to act also as a machine-state processor or some dedicated logic must be left on?
I don't know, but I wouldn't think so, since the Denver-ICs are supposed to work on serial tasks and in concert with the parallel part of the GPU. If it sits outside the SMMs, it cannot efficiently work with them on the same task very good, I would guess.
My current guess (and it's just that, a guess), is that the Denver-stuff (which is probably reserved for the Big Iron) is doing the SFU's work inside each SMM similarly to AMDs scalar unit inside their CUs.
Could be completely wrong, of course.